well, I’ll be the lone voice of the opposite side. I use 4 different prop. mgmt companies to manage several dozen units scatters across several cities. I have a full-time job as well as side consulting business that nets me some very nice money for the effort. Aside from the distance issues, I can’t go and fix tenants issues or collect rent at midnight or 5am.
I agree that you need a good management company and I consider it my job to manager the managers; I look at every invoice and call them at least once a month, I also do drive-by of the properties whenever I’m in the area. Three out of 4 of my prop. mgmrs have 15+yrs. of experience. The ones I like best have full-time maintence guys that I pay for on a per-hour basis or have a good roladex of locals handyman that will owrk for cheap on odd job. I pay between 6 and 10% of gross rent collected.
Its easy to manage yourself if you only a couple of units close by your home, but it would be a half-time job to handle the portfolio I have; plus my day job pays about many times over what I pay in prop. mgmt fees.